I've adopted Navy as my primary bank since joining about a year ago. I give them my paycheck DD, mid 5 figure savings, CD, SSL. They're the front runner for my planned mortgage apping. I got a 25K CC from them. Like everyone else on this board, I was enthralled by their generosity of credit limits. But I've been paying more attention to the monster SLs they give to people with BKs, mid-600 ficos. I'm starting to be concerned about what this indicates about their level of exposure. I know they are the largest CU, with $100B+ assets. They don't do the risky investment bank stuff that got the big FIs in so much trouble in the last crisis, afaik.
Am I nuts to worry about this? Does loose consumer credit UW present any realistic risk down the line? Why or why not?
Maybe I’m nuts but when NFCU cracked the door and let me in I was so happy and felt this forum had helped me so much. I then felt I wanted to crack that door for the next person. Not close it. Hopefully NFCU will continue to help everyone. Every time I read a post for an approval I remember how I felt. I leave the how, who and when to Navy Federal. That’s what they get paid for. GO NAVY
They are not that loose; they won’t give me a cli.
@lyTENciL wrote:I've adopted Navy as my primary bank since joining about a year ago. I give them my paycheck DD, mid 5 figure savings, CD, SSL. They're the front runner for my planned mortgage apping. I got a 25K CC from them. Like everyone else on this board, I was enthralled by their generosity of credit limits. But I've been paying more attention to the monster SLs they give to people with BKs, mid-600 ficos. I'm starting to be concerned about what this indicates about their level of exposure. I know they are the largest CU, with $100B+ assets. They don't do the risky investment bank stuff that got the big FIs in so much trouble in the last crisis, afaik.
Am I nuts to worry about this? Does loose consumer credit UW present any realistic risk down the line? Why or why not?
Yes, you are nuts
. Let those people default. They will only hurt themselves. I agree though its mindboggling but i wont complain because they put more faith in us that no other would so it makes me triple more wary of not burning them. At the end of day its on us to keep up our part of the agreement. And honestly, for most of our members , we've earned this kind of treatment through selfless service to country.
@Anonymous wrote:
@lyTENciL wrote:I've adopted Navy as my primary bank since joining about a year ago. I give them my paycheck DD, mid 5 figure savings, CD, SSL. They're the front runner for my planned mortgage apping. I got a 25K CC from them. Like everyone else on this board, I was enthralled by their generosity of credit limits. But I've been paying more attention to the monster SLs they give to people with BKs, mid-600 ficos. I'm starting to be concerned about what this indicates about their level of exposure. I know they are the largest CU, with $100B+ assets. They don't do the risky investment bank stuff that got the big FIs in so much trouble in the last crisis, afaik.
Am I nuts to worry about this? Does loose consumer credit UW present any realistic risk down the line? Why or why not?
I worry about this as well, but I assume Navy has highly paid individuals and some fantastic data trends to support their continued decision to be loose with the SL/CLs - otherwise, they would have cut back a long time ago. They also know they have the ability to cut back both new and existing limits if it becomes a problem.
The fact that they haven't reinforces my belief that whatever data they are looking at supports their approach to credit card limits.
Well said. We often think our limits are uncutable. It only has to happen once
@Shooting-For-800 wrote:They are not that loose; they won’t give me a cli.
And i have been denied multiple times 🙃. Even trying to help Dad with a consolidation loan they said no so they do know when the risk isnt worth the reward
They have been giving out often huge limits to people in the high 500's even for more than a decade. They are more strict now than they were years ago. This is why there were actually people joining the Coast Guard Auxiliary just to get in 10 years ago. Before I joined, I used to see shocking approvals out of them. My $8.2 limit Flagship @ a 590 TU09 two years ago was shocking as well. I think they know what they are doing though.
Edit to add: They are indeed huge but have relatively few branches. Their overhead is much less than a "Bank" especially since there are no pigs at the top with 5 mansions, a private Island, golden parachutes and a fleet of private jets. They are basically a huge digital based lender and I bet they doing quite well. I don't plan on ever finiding out but I hear they play hardball with those who burn them.
